The Dutch Authority for the Financial Markets (AFM) imposed an administrative fine of EUR 765,000 on BDO Audit & Assurance B.V. after concluding that weaknesses in its quality management system and business operations failed to prevent or detect exam fraud by professionals. The AFM described the case as closing its investigations into exam fraud at public interest entity audit firms. BDO’s own investigation found that between 2018 and 2023 several hundred professionals cheated on exams by, among other things, sharing answers or taking tests together, with misconduct occurring across all levels of the organisation, from employee to partner. Some of the exams were required to maintain knowledge and skills for certification as a statutory auditor. The AFM found BDO lacked specific policies, procedures, measures and safeguards to support the integrity of exam-taking and noted that BDO neither prevented the misconduct nor identified it through internal reporting channels. In setting the fine, the AFM cited mitigating factors including the relatively limited role of internal tests within BDO’s quality system, BDO’s cooperation and remedial measures, and that BDO accepted the fine, allowing the matter to be concluded under a simplified procedure.
Dutch Authority for the Financial Markets 2025-12-18
Dutch Authority for the Financial Markets fines BDO Audit & Assurance EUR 765,000 for failing to prevent exam fraud
The Dutch Authority for the Financial Markets (AFM) fined BDO Audit & Assurance B.V. EUR 765,000 for failing to prevent or detect exam fraud due to weaknesses in its quality management system. The misconduct involved several hundred professionals cheating on exams required for statutory auditor certification. The AFM noted BDO's cooperation and remedial measures as mitigating factors in the enforcement action.